Consumer Product Safety Summit Acting Chairman Nancy Nord September 11, 2007 Public Meeting, USDOC Auditorium Opening

Remarks • Good Morning. • Vice Minister Wei, Ambassador Zhou, honored guests, ladies and gentlemen: • It is a great pleasure to welcome you here to the Second U.S.-Sino Consumer Product Safety Summit. • Very recently President Bush and President Hu discussed the importance working together to ensure that all products shipped between our two countries are safe for consumers. This Summit represents in my view an historic opportunity to make real and lasting progress toward that goal. • In a few minutes, Vice Minister Wei and I will sign a Joint Statement in which China’s General Administration of Quality Supervision, Inspection and Quarantine has agreed to intensify its efforts to prevent the manufacture and export of unsafe products, including the use of lead paint in the manufacture of toys exported to the United States, which has been the subject of much recent attention. • Our colleagues at AQSIQ have agreed to immediately develop a comprehensive plan to ensure that Chinese exports comply with U.S. laws banning lead paint on toys, as well as with China’s own rules that prohibit its use. • In addition to the lead paint initiative, our two agencies are pleased to announce work plans for cooperation in four key product categories, where recurring product safety issues have been identified: Fireworks, Toys, Lighters, and Electrical Products. These categories were mutually identified pursuant to the Memorandum of Understanding signed entered into between our two agencies in 2004.

• The work plans in these four product categories provide a roadmap to improve the safety of these products through five main avenues: 1) First, in cooperation with the CPSC, AQSIQ has agreed to increase its inspections of products destined for the U.S. and to undertake other activities to ensure that exports meet all applicable safety standards. Second, AQSIQ, again in full cooperation and participation with CPSC, will work to expand the knowledge and understanding of U.S. product safety standards among Chinese manufacturers and exporters. Third, CPSC and AQSIQ have agreed to various technical personnel exchanges and training activities to ensure full and mutual understanding of our respective laws and systems, including product testing methodologies. Fourth, we have respectively agreed to establish regular and systematic exchanges of information about emerging product safety issues, including monthly discussions of recall activities and trends. Fifth, AQSIQ has agreed to specific steps to assist the CPSC to be able to trace products with identified safety problems to those Chinese firms involved in their manufacture, distribution and export. This will enable both our agencies to better and more quickly address safety issues as they arise.





• Later this morning there will be more detailed discussion of these work group plans and agreements. • While very important, these agreements represent a beginning, not an end. They set in place the mechanisms for closer cooperation between our respective agencies and more manifest efforts on both our parts to ensure that all involved understand and comply with product safety standards.

• But for these agreements to be truly successful will require the strong and lasting commitment of both of our agencies. And make no mistake, these agreements and, indeed, product safety itself, are mutual agreements, requiring tangible actions on both our parts. • I appreciate the commitment demonstrated by Vice Minister Wei, AQSIQ and the government of China to make true and lasting progress in this area and I can assure him that the CPSC and the government of the United States stand equally committed to this shared goal. • And I should note that, indeed, there are several other U.S. agencies with jurisdiction over food, drugs and other products not within the jurisdiction of the CPSC that are engaged in similar discussions and actions with the Chinese government, and I understand that significant progress is being made in those areas as well. • The CPSC is a member of the President’s Interagency Working Group on Safe Imports and have been working closely with the other agencies on that Working Group to share information and to develop integrated strategies to address import safety issues. • And, of course, governments, of whatever country or jurisdiction, cannot tackle this job alone. We must have the involvement, cooperation, and commitment of industry if we are to succeed. While the CPSC has and does not hesitate to exercise its enforcement powers when warranted, private companies—big and small; Chinese and American; exporters and importers—must themselves make a conscious commitment to ensure product safety, from design to delivery. • Industry can not tolerate an “ask no questions” mentality when making, ordering or purchasing products. Everyone in the chain of commerce has a legal and moral responsibility to ensure that products that will end up in the hands of consumers---including children---are safe. The stakes are just too high. • And there are other stakeholders with a critical roles to play as well, including standards development organizations; consumer advocacy groups; and lest we forget, the media, who have demonstrated so amply

in recent months their ability to focus attention to an issue of public importance. • Vice Minister Wei, I want to thank you personally for working with me and my agency to reach these agreements and for joining me in this commitment to the hard work that will follow. • And I want to thank all of you for coming today. As I look around the room I see friends, colleagues, and many leaders in the arena of product safety. I look forward to continuing to work with all of you as well and I do appreciate your attendance here. • Thank you.